Dourado Resources : Quarterly Activities Report - 31 January 2017

Zyber Holdings Limited (ASX: ZYB)

ABN: 84 131 090 947

Level 11, 216 St Georges Terrace Perth, Western Australia 6000

GPO Box 2517, Perth, Western Australia 6831

T: [phone]

F: [phone]

E: [e-mail]

Non-Executive Chairman

Mr Peter Wall

Non-Executive Directors

Mr Paul Callander Mr Jason Tomkinson

Company Secretary

Mrs Elizabeth Hunt

31 January 2017

December 2016 Quarterly Activities Report Fundraising

As announced on 10 October 2016, Zyber Holdings Ltd (ACN (131 090 947)) (Company or Zyber) completed a 1:2 pro rata non-renounceable rights issue of approximately 213,603,605 fully paid ordinary shares to raise approximately $1,068,018 (together with one

(1) free attaching option for every two (2) Shares subscribed for and issued exercisable at

$0.012 on or before 31 October 2019). The shares were issued at a price of $0.005 each under the Offer. The Company lodged a prospectus for the offer with ASIC and ASX on 10 October 2016.

The entitlements issue was fully underwritten by Patersons Securities Limited.

The Company also completed a placement of fully paid ordinary shares at an issue price of

$0.0065 per Share to clients and contacts of Patersons Securities Ltd to raise $1,235,000.

Management Re-structure

On 8 December 2016, Ben Daly resigned as the CEO of the Company and Mr Jason Tomkinson resigned as an executive director (moving to a non-executive role).

The Company is in the process of looking at other options to fill these executive roles.

Customer Engagements

As reported, the Company was unable to mutually agree terms with REDtrac following POC that was commenced with REDtrac for use of Zyber's product to enable secure sharing of sensitive files with contracted field crews via their mobile devices. This relationship was therefore terminated.

All other customer engagements have not moved forward significantly during the quarter.

Zyber Product Development

The Zyber technical team presented a proposal to the board of directors of the Company for the next stage of development of the Zyber product and the plan for further commercialisation.

The team launched the MyZyber (myzyber.com) consumer application. The product along with its mobile applications allows consumers to demo a subset of the Zyber Enterprise Application. The mobile applications are available free on the Apple App Store and the Google Play Store.

Development efforts were put into fixing defects and adding features specifically in the Zyber Enterprise Application and Windows Desktop Application. The team successfully completed a proof of concept of the "3rd Pillar" related to virtualization with secure file sharing. This is integrated into the existing Zyber Enterprise Application, but further development is required to commercialise this technology.

Zyber Holdings Limited (ASX: ZYB)

ABN: 84 131 090 947

Level 11, 216 St Georges Terrace Perth, Western Australia 6000

GPO Box 2517, Perth, Western Australia 6831

T: [phone]

F: [phone]

E: [e-mail]

A security assessment and testing was also done on the Zyber Application. The findings from this assessment are being worked on as part of the development process.

In the meantime, a significant cost cutting initiative has been put in place to preserve shareholder funds.

Enquiries Elizabeth Hunt

Company Secretary

Telephone: [phone]

About Zyber

Zyber Secure Mobile Solutions builds secure file sharing business applications with an emphasis on security, scalability and functionality. Zyber automates confidential information flow processes for industries including government, banking, healthcare, retail and the public sector.

Social Media Policy

We believe in providing the highest levels of communications, and whilst the ASX remains the platform for market sensitive releases, we encourage all shareholders to follow Zyber on Twitter (@myzyber), LinkedIn and YouTube.